While global development is about much more than aid, US foreign assistance is, and will remain, one of the most visible tools for US development policy in many countries. The US government spends less than 1 percent of its annual budget — about $23 billion — on nonmilitary foreign assistance across the globe. These programs have consistently come under fire for failing to achieve measurable and sustainable results, ignoring local priorities and contexts, perpetuating bureaucratic inefficiencies and inflexibility, and repeating mistakes over time. A paradigm shift within US aid agencies is needed. In this brief, we outline concrete proposals that would address many of the traditional shortcomings of US foreign aid approaches.
Does Results-Based Aid Change Anything? Pecuniary Interests, Attention, Accountability and Discretion in Four Case Studies
Results-based aid (RBA) is a form of foreign assistance in which one government disburses funds to another for achieving an outcome. This paper distinguishes four different theories used to justify RBA programs and analyzes four case studies – from GAVI, the Amazon Fund, Ethiopian Secondary Education and Salud Mesoamérica.
Development Impact Bonds (DIBs) bring together private investors, non-profit and private sector service delivery organisations, governments and donors to deliver results which society values.
Development Impact Bonds (DIBs) are a new approach to designing and funding development programs that bring together governments, donors, private investors, and non-profit and private sector service delivery organizations to deliver results which society values.